I have a new (short!) paper out, Bankruptcy's Lorelei: The Dangerous Allure of Financial Institution Bankruptcy . The paper, which builds off of some Congressional testimony from 2015, makes the case that proposals for resolving large, ... Read full article
The media attention on the Equifax breach has been primarily on consumer harm. There's real consumer harm, but it's generally not direct pecuniary harm. Instead, the direct pecuniary harm from the breach will be borne by banks and merchants, ... Read full article
This post diagnoses what went wrong with Equifax and proposes a solution: a public utility regulation regime for consumer reporting agencies in which the CRAs would be restricted in their ability to pay dividends and executive compensation unless they ... Read full article
Following his appointment of Steven Mnuchin as Treasury Secretary, the President has nominated Joseph Otting, former CEO of OneWest Bank, to be the chief federal bank regulator as head of the Office of the Comptroller of the Currency. ... Read full article
Today the CFPB finalized the most important rulemaking it has undertaken to date. This rulemaking substantially restricts consumer financial service providers' ability to prevent consumer class actions by forcing consumers into individual ... Read full article
Over at Dealb%k . ... Read full article
Over at Dealb%k . ... Read full article
In this short paper , I question whether derivatives clearinghouses can be "resolved" under Dodd-Frank's title II " Orderly Liquidation Authorit ... Read full article
The new Executive Order is out . At heart, it says nothing. The press will probably make it into a big deal. Update : I should clarify that I have no doubt the administration plans to gut Dodd-Frank. The order simply says "we plan to gut ... Read full article
Apparently just in time for another missive from the White House – and a bit of a tantrum from the House – I've got a new Dealbook up where I suggest that Orderly Liquidation Authority and title II might be a first target. ... Read full article
On the new reality. Over at Dealb%k. ... Read full article
Banking is not an industry; banking is not the real economy. The big banks especially are economic and political behemoths that remain unpopular and poorly understood in the popular imagination. ... Read full article
Perhaps as a result of GM , I've been thinking about notice issues in connection with insolvency. ... Read full article
A new CMBS issuance is set to test whether regulators will treat the 5% retained credit risk under Dodd-Frank as loans or bonds . The difference matters because there are different capital charges for loans and bonds. If regulators treat the retained ... Read full article
The Second Circuit handed down its much-anticipated decision on the GM successor liability claims. Bottom line is that most, if not all, of the various claims against New GM are not barred by the Sale Order because of lack of procedural Due Process. That ... Read full article
I'm testifying before House Financial Services tomorrow regarding the "CHOICE Act," the Republican Dodd-Frank alternative. My testimony is here . ... Read full article
Over at Dealb%k . ... Read full article
Th ... Read full article
One problem complicating any resolution of Puerto Rico's financial distress is that there are a multiplicity of issuers. There are separate claims on separate issuers, and it won't work to resolve just some of them, as they are all ultimately ... Read full article
